FG, States LGs Share N635.55bn Allocation for January 2018
The total sum of N635.55 billion has been shared as FAAC allocation among the Federal, States and Local Government Councils as revenue for the month of January 2018.
Speaking to newsmen at end of the meeting of the sub -Committee of Federation Accounts Allocation Committee (FAAC) held in Abuja, Accountant General of the Federation,(AGF) Alhaji Ahmed Idris said that the gross statutory revenue received for the month is N538.908 billion and is lower than N540.446 billion received in the previous month by N1.538 billion.
He noted that the shared amount comprise the Month’s Statutory distributable revenue of N538.908 billion and the Value Added Tax of N96.646 billion making up the sum of N635.554 billion.
Accordingly, from Net Statutory Allocation, the Federal Government received N249.366 billion representing (52.68%); States received N126.482 billion (26.72%); Local Government Councils received N97.512 billion representing (20.60%); while the Oil Producing States received N52.042 billion as 13% derivation revenue.
He said the Revenue available from the Net Value Added Tax (VAT), Federal Government received N13.917 billion (15%); States received N46.390 billion (50%) while the Local Government Councils received N32.473 billion (35%).
The AGF further explained that there was an increase in the average price of crude oil from $56.83 to $57.71 per barrel and a decrease in export sales of 0.36 million barrels which resulted in decreased revenue from Export sales of $113.86 billion.
He also stated that other issues which negatively affected the Crude oil production were attributable to sabotage and brief force Majeure declared at Bonny Terminal which resulted in shut-in and shut-down of pipelines for maintenance and for repairs. Furthermore, significant increases were recorded in VAT and Oil Royalty, while revenues from Import Duty recorded marginal increase. Petroleum Profit Tax and Companies Income Tax decreases in the month under review.
Also speaking on the sidelines of the event, the Chairman of Commissioners of Finance Forum of FAAC, Alhaji Mahmoud Yunusa, expressed optimism that the allocation for March would be better.
He hinged his assurance on the calm atmosphere in Niger Delta region and improved crude oil prices.
“We are in progress. By March, we anticipate that the revenue will surge. Things are getting better compared to where we were. By March, we will have a better chunk,” he added.